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TFI International buys Texas trucking company Daseke for $1.1 billion

Deal brings 4,900 tractors, 11,000 flatbed and specialized trailers, and 1 million square feet of warehouse space

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Transportation and logistics provider TFI International will spend $1.1 billion to acquire Daseke Inc., a Texas-based freight operator with 4,900 tractors, 11,000 flatbed and specialized trailers, and one million square feet of industrial warehousing space.

After the merger, Daseke will continue to operate its portfolio of brands as part of TFI’s Truckload segment, which is expected to generate approximately $3.6 billion in annual total revenue, operate one of the largest comprehensive truckload businesses in Canada, and be one of the largest participants in the less-commoditized specialized equipment truckload marketplace in the United States.


And over the medium term, Montreal, Quebec-based TFI expects to evaluate the potential benefits of separating into two distinct public companies – one comprising the truckload segment, and one comprising the less than truckload (LTL), package and courier (P&C), and logistics segments.

“This attractive acquisition is highly complementary to our existing operations and scales our Truckload segment into a leading North American truckload transportation and logistics business,” Alain Bédard, TFI’s chairman, president and CEO, said in a release. “Daseke’s deep expertise in servicing a broad portfolio of specialized and industrial end markets such as high-security cargo, agriculture, manufacturing, and construction, is critical given the relative strength of specialized market dynamics today.” 

The transaction is expected to close during the second quarter of 2024, after which Daseke’s common stock will no longer be listed on any stock exchange.

Stock analysts applauded the move. “We see no headwinds to completion, with plenty of financial capacity on [TFI’s] end, and a significant premium for [Daseke] shareholders against a tepid 2024 fundamental truckload outlook,” Bascome Majors, an analyst with Susquehanna International Group LLP (SIG), said in an email. “We expect [TFI] to drive long-term value for shareholders with both their acquisition of flatbed carrier [Daseke] in 2Q24 (mid-term accretive with low-risk) and the potential spinoff of their combined truckload businesses in 2025/26.” 

The deal comes at a time of churn in the North American trucking sector, when the industry continues to spin its wheels in the trough of a long-running freight recession. Just yesterday, Forward Air sold its final mile division to Hub Group for $262 million and in October, the well-funded digital freight brokerage Convoy suddenly failed. At the same time, Omni Logistics is suing Forward Air to enforce a $3.2 takeover bid, and the bankrupt Yellow Corp. continues to sell off its assets at auction.

Editor's note: This article was revised on December 22 to add input from SIG. 

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